FTC Finalizes Order Requiring Credit Karma to Pay $3 Million and Halt Deceptive ‘Pre-Approved’ Claims

Following a public comment period, the Federal Trade Commission finalized a consent order settling charges that credit services company Credit Karma deployed dark patterns to misrepresent that consumers were “pre-approved” for credit card offers.

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Provider: 
FTCFTC
URL: 
https://www.ftc.gov/news-events/news/press-releases/2023/01/ftc-finalizes-order-requiring-credit-karma-pay-3-million-halt-deceptive-pre-approved-claimshttps://www.ftc.gov/news-events/news/press-releases/2023/01/ftc-finalizes-order-requiring-credit-karma-pay-3-million-halt-deceptive-pre-approved-claims
Retrieved on: 
Thursday, January 26, 2023
Information
Tags: 
Karma, News, Social media, Federal Trade Commission, Commission, FTC, Credit Karma, Blog, Cryptocurrency
Summary
Key Points: 
  • Following a public comment period, the Federal Trade Commission finalized a consent order settling charges that credit services company Credit Karma deployed dark patterns to misrepresent that consumers were “pre-approved” for credit card offers.
  • The FTC’s consent order requires the company to pay $3 million that will be sent to consumers who wasted time applying for these credit cards and to stop making these types of deceptive claims.
  • The Commission vote to approve the final order and letters to commenters was 4-0.
  • Follow the FTC on social media, read consumer alerts and the business blog, and sign up to get the latest FTC news and alerts.
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